Does the EC Action Plan address European EV makers’ issues?

On 5 March 2025, the European Commission (EC) published its Action Plan to boost the regional automotive industry’s standing on the global stage. This had been in the works since January, when it convened with stakeholders to ascertain the most pressing challenges facing automakers.

“The European automotive sector is facing a critical turning point, with rapid technological changes and increasing competition posing significant challenges,” explained the EC in a press release. To help establish a more prominent place in the global industry, the Plan focuses on five key areas: innovation, the shift to clean mobility, competitiveness and supply chain resilience, improving skills and addressing the social dimension, and guaranteeing a level playing field and a competitive business environment.

Most of these focus points were anticipated by a speech given by Commission President Ursula von der Leyen on 3 March. New details, such as a €90m (US$96m) fund to boost skills training and protections for EU businesses, will be welcome, but does the Action Plan actually address the fundamental issues holding back Europe’s electric vehicle (EV) industry?